EBRD lends up to $12.1M to Jordan's Kawar Energy
What's the deal? The European Bank for Reconstruction and DevelopmentDealroom has a profile for this one. Try Dealroom → (EBRD) is lending up to $12.1M (€10.4M) to Kawar EnergyDealroom has a profile for this one. Try Dealroom →, a leading Jordanian renewable energy company. The financing will help the company optimise its balance sheet, improve financial flexibility, and expand its renewable energy pipeline across Jordan.
The loan comes with an EBRD-funded technical cooperation package that will create a certified apprenticeship scheme for young professionals and build ties with local universities and technical institutions.
Kawar Energy will also use the funding to implement a comprehensive environmental, social, and governance (ESG) management system aligned with EU and national standards, including a biodiversity action plan for its renewable energy projects.
Why now? Jordan has rapidly expanded its renewable energy capacity, with clean energy making up a growing share of the country's electricity mix. The investment aims to accelerate that green transition by strengthening a key local developer and promoting competition in the sector.
"Jordan has been a pioneer in renewable energy deployment, and Kawar Energy is proud to be at the forefront of that transformation," said Nabeel Abu Ata, director of strategy and investment at Kawar Investment, the parent company.
What could go wrong? Jordan's renewable energy sector still depends heavily on international development finance. Any shift in EBRD priorities or broader geopolitical disruption in the region could slow project pipelines. Compliance with EU-aligned ESG and biodiversity standards also adds complexity and cost for a mid-sized local player.
The signal: Development finance institutions like the EBRD — classified as a government and non-profit investor — are increasingly moving beyond project-level funding to back the balance sheets of private renewable energy companies in emerging markets. Kawar Energy, tagged as a "breakout" stage company on Dealroom, exemplifies how mid-sized local developers are becoming vehicles for scaling clean energy ecosystems, with the EBRD's €2.2 billion Jordan portfolio heavily weighted (over 70%) toward the private sector. The pairing of financial flexibility with capacity-building and ESG compliance suggests a template being refined for replication across the EBRD's Middle East and Africa footprint.
Read more: ebrd.com
